J. Zheng, a former professional tennis star, operates Zhengs Tennis Shop, Ltd. at the Yalong River Resort. At the beginning of the current season, the ledger of Zhengs Tennis Shop showed Cash 2,200, Inventory 1,800, and Share Capital Ordinary 4,000. The following transactions were completed during April. Apr. Purchased racquets and balls from Jay-Mac Co. 760, FOB shipping point, terms 2/10, n/30. Paid freight on purchase from Jay-Mac Co. 40. Sold merchandise to members 1,150, terms n/30. The merchandise sold had a cost of 790. Received credit of 60 from Jay-Mac Co. for a racquet that was returned. Purchased tennis shoes from Li Sports for cash, 420. Paid Jay-Mac Co. in full. Purchased tennis shirts and shorts from Everett Sportswear 800, FOB shipping point, terms 3/10, n/60. Received cash refund of 50 from Li Sports for damaged merchandise that was returned. Paid freight on Everett Sportswear purchase 30. Sold merchandise to members 980, terms n/30. The cost of the merchandise sold was 520. Received 600 in cash from members in settlement of their accounts. Apr. Paid Everett Sportswear in full. Granted an allowance of 40 to members for tennis clothing that did not fit properly. Received cash payments on account from members, 820.